In recent years, employees have raised concerns about unequal pay and the secrecy surrounding compensation details. New state laws now require employers to include pay information in job postings and to provide written pay scales when requested. This change comes at a time when many workers suspect they are being paid less than coworkers performing substantially similar work because of their gender, race, or other protected characteristic(s).
When you are unsure whether you are receiving fair pay, it can feel isolating and frustrating. Do you believe you are being paid less due to your protected status? California’s transparency laws provide a route to challenge unfair practices and secure the compensation you deserve.
This article explains the key elements of California’s pay transparency laws, outlines practical steps you can take if you suspect wage discrimination, and offers guidance on how to prepare for conversations with your employer. In addition, we cover the options you can explore if initial discussions do not lead to change. Let this article serve as a resource to help you confidently address your pay equity concerns and to assist you in taking control of your financial well-being.
The Evolution of California State Pay Transparency Laws
In 1949, the California Equal Pay Act took a bold step in confronting unfair wage biases and hiring practices. With the exception of very limited circumstances, it forbade employers from paying workers of the opposite sex different wages. It also established that workers performing “substantially similar work” in “similar working conditions” must receive equal pay regardless of gender, race, or ethnicity. It made it more difficult for employers to justify pay inequities through the “bona fide factor other than sex” defense.
In 2016, California passed the California Fair Pay Act to expand on these principles by facilitating easier pay comparisons among current and prospective employees. However, even as these laws aimed to level the playing field, many companies continued to shield illegal, discriminatory pay practices under a veil of secrecy.
The following year, the Wage Equality Act added race and ethnicity as protected categories to the Equal Pay Act . While this act addressed overt discrimination, it still did not fully confront the problem of wage secrecy – a practice that left many employees without the clear information they needed to advocate for themselves.
Under more recent amendments to California’s Equal Pay Act, employers with 15 or more employees must include the expected minimum and maximum salary or hourly wage range in every external job posting. This measure makes it easier for you to know the pay range before applying for a job and helps reduce wage differences across the board. In addition, the law prevents employers from asking about your past wage or salary range history. Requiring job applicants to discuss their wage or salary history is a practice that employers typically used to justify pay inequities.
Additionally, new pay transparency laws such as Government Code Section 12999 and Senate Bill 1162 require companies with 100 or more employees to submit detailed pay data reports to the California Civil Rights Department. These reports disclose compensation ranges by race, ethnicity, and gender, and offer a vital tool for monitoring progress and ensuring accountability.
This legislative journey is not just about policy – it is about creating a society where all workers can feel secure in the fairness of their compensation. Nevertheless, the path to full transparency is not without challenges. Some businesses, particularly smaller firms, have struggled with the logistics of compiling detailed pay data or defining salary ranges that account for a variety of roles and experience levels.
Practical Steps for Employees Who Suspect Their Employer Is Not Paying Them Equally In Comparison to Their Peers
If you believe that you are paid less than coworkers doing similar work because of your gender, race, or other protected trait, the law supports your right to question and challenge this inequity.
Here are several steps you can take:
- Request the pay scale in writing: Your employer must provide a written pay scale for your position upon request. Thus, consider writing a formal request to your human resources department or supervisor asking for the salary range applicable to your role. Keep a copy of this correspondence for your records. A written record can be an important piece of evidence in a potential claim.
- Do your research: Use online resources to gather market data on typical salary ranges for your job title and experience level. Compare these figures with your current compensation. This research will help you build a strong case by showing how your pay measures up against industry benchmarks.
- Don’t be afraid to discuss your pay with colleagues: If you feel comfortable, engage in open conversations with trusted coworkers about their pay. Employers cannot prevent you and other employees from comparing your wages, which can offer critical insight into whether disparities exist in the workplace. This information can help confirm whether your salary is significantly lower than that of others in similar positions.
- Document your qualifications and accomplishments: Prepare a detailed list of your skills, experience, and achievements. Include any special certifications, awards, or contributions that add value to your work. This documentation will help support your argument that you deserve a higher pay that reflects your expertise and contributions when you discuss your compensation..
How to Prepare for a Discussion on Pay Transparency Laws
Arrange a formal meeting with your supervisor, administration team, or Human Resources to discuss your compensation concerns. Organize your research and documentation so that you can present a clear, factual argument.
Start by gathering all relevant materials, including your written request for them to disclose salary ranges, discrepancies in your actual pay and what you were offered in the interview or job listing, any explanation you received from the company for discrepancies in the fixed pay rate or pay scale, and the market research on appropriate pay range that you have compiled. Save copies of the salary data from reputable sources. This evidence will serve as the basis for your discussion.
Next, outline your main points in a concise document. List your job responsibilities, achievements, salary expectations, and any comparisons with the industry benchmarks you have discovered. Having this information in an organized format will help you stay focused during the meeting and ensure that you cover every important detail.
Practice discussing your points out loud, perhaps with a trusted friend or colleague, to build your confidence. It is helpful to rehearse responses to possible questions or objections from your employer. This practice can also assist you in finding the right words to convey your concerns without becoming emotional. Maintaining a calm and professional tone is key. Even if the conversation becomes challenging, it is best to keep the focus on facts and documented evidence to make the most compelling argument.
When it is time to discuss your pay range concerns with your employer, preparation is essential. Present the written pay scale you received, share the market data you gathered, and explain how your qualifications and performance justify a review of your salary.
During the meeting, clearly state that you are aware of the legal requirements for pay transparency and that you have used this information to assess whether your compensation is in line with market standards. Express your willingness to work with your employer to resolve the issue amicably, but also be prepared to take further action if necessary.
Be sure to approach the discussion professionally. It is easy to become overwhelmed or angry when you believe your employer is discriminating against you, but do your best to focus on facts and figures calmly. The goal is to have an open and honest discussion where both parties can consider the data and work toward a resolution. Taking these steps provides you with a structured approach to addressing potential wage discrimination.
If the Discussion Isn’t Fruitful Or If You Do Not Wish to Complain to Your Employer, You Have Other Options
If the discussion with your employer does not lead to a satisfactory resolution or if you do not want to complain to your employer, you have several options.
First, you may consider filing a complaint with a state agency tasked with enforcing California’s equal pay laws. For example, you can contact the California Labor Commissioner or the Civil Rights Department, which is tasked with ensuring that employers adhere to fair pay practices. These agencies can investigate your claim and, if necessary, take enforcement actions against your employer.
Another option is to consult the employment law attorneys at AMG Law. Our team can review your case and advise you on whether you have a strong claim based on wage discrimination.
By discussing your situation with our experienced legal professionals, you can better understand your rights and the potential for pursuing legal action.
In addition to legal channels, consider using internal grievance procedures if your company has them. Many employers have formal processes for addressing employee complaints, and following these procedures can sometimes resolve the issue without the need for external intervention.
Throughout the process, maintain a record of all communications and meetings related to your pay range discussion. This documentation can serve as evidence if you decide to pursue further legal action. It also demonstrates that you made a good-faith effort to resolve the matter internally before seeking outside help.
Your rights as an employee are protected by law. Do not hesitate to use the tools available to ensure that you receive fair compensation for your work. If you have any doubts or concerns about your pay, take action today.
Take the first step to How far you will go to protect your civil rights and contact AMG Law today to schedule a free, confidential consultation.